On Modal μ-Calculus and Non-Well-Founded Set Theory

A finitary characterization for non-well-founded sets with finite transitive closure is established in terms of a greatest fixpoint formula of the modal μ-calculus. This generalizes the standard result in the literature where a finitary modal characterization is provided only for wellfounded sets with finite transitive closure. The proof relies on the concept of automaton, leading then to new interlinks between automata theory and non-well-founded sets.